30 November 2020

Chris Price North Yorkshire Moors Enterprise Plc Pickering Station Pickering North Yorkshire YO18 7AJ

Dear Mr Price,

North Yorkshire Moors Enterprise Plc: Variation from ORR’s general approval

ORR’s general approval for third party liability insurance (TPLI) arrangements has been in place since 1 March 2007.

This letter confirms that the general approval applies to your TPLI obligations with the following variations, as agreed by ORR on 14 March 2007, 2 June 2017 and today, 30 November 2020:

| Section in ORR’s general approval | Variation | |-----------------------------------|-----------| | 3a – minimum cover required. | Minimum cover required is £30M. | | 3b - Where an aggregate limit of indemnity applies, this limit will be reinstated at least once if the limit is exhausted. | An automatic reinstatement is not required. You and your insurers will purchase a reinstatement of the full limit in the event of and at the time that the original limit is exhausted or is likely to be exhausted. | | 3g – the operator will provide cover for any difference between its contractors’ cover and that required by the general approval. | You and your insurers will consider each contract where subcontractors are required to be used and will include Difference in cover/Difference in levels of coverage (DIC/DIL) when exposure is known. |

This variation applies while these conditions are met:

| No. | Condition | |-----|-----------| | 1 | You shall notify ORR forthwith if your required level of TPLI is eroded. | | 2 | The nature of the operation is as described in the NYMR Risk Assessment based on the Tasque Consultancy Limited dated September 2005. | | 3 | You will notify ORR immediately if the annual value of all claims, which contribute to an annual aggregate limit under the insurance programme, reaches £20m and provide the claims values of the 5 largest claims. |

We may at any time modify or revoke this variation after consulting you if it appears to us to be requisite or expedient to do so, having regard to the duties imposed on us by section 4 of the Railways Act.

While you meet these conditions, you may rely on the general approval with the variations set out above. This means that you only need to provide us with a broker’s confirmation that cover is in place in accordance with the general approval, as varied by this letter, when you renew your cover. We ask that a letter is sent once a year in any event, even if no changes have been made. Please keep appropriate records and let us know if there are any material changes to your insurance liability programme.

A copy of this letter will be placed on the ORR’s public register.

Please forward a copy of this letter to your insurance brokers.

Yours sincerely

Les Waters